Buy custom MBA 503 - Memo to HR
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Business
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Number of pages / Number of words: |
3 / 753 |
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Sunk costs are expenses or purchases that the company makes where it cannot get the money back for that item (OECD, 2003). Expenses of this nature I see at our work are seen directly in our new database system that we are implementing. In hardware, software, and development of this new program over the past year, we have reached a point where if the program fails, we could never get any of the money back we have spend on the project...
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In hardware, software, and development of this new program over the past year, we have reached a point where if the program fails, we could never get any of the money back we have spend on the project. This can break a business very quickly as well, so sunk costs can be detrimental to the business or problematic should the purchase be something the company does not end up using or becomes something the business can't use...
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